Service, Brand Are Key in Asset Manager Choice

According to the research firm Cerulli Associates in Boston,
the most important attribute out of 11 factors is strong client service. “The second-most important factor is a recognizable brand
(34%), followed by a useful website (34%),” said Pamela DeBolt, senior analyst
at Cerulli.

Advisers and asset managers are increasingly
brand-aware. “In fact, brand is a firmwide focus for many companies this year,”
DeBolt said. “Many experts believe that consistent messaging over a period
of a few years is required to make a significant impact on brand
awareness.”

However, resources for brand
initiatives are not keeping pace with the perceived importance of this area,
according to surveys by Cerulli. “Marketing’s most significant challenge is
lack of financial commitment to advertising, brand initiatives and website
enhancements,” DeBolt said.

Building a brand requires long-term, strategic planning, and Cerulli encourages asset managers to think creatively
when developing and executing branding and advertising campaigns. Since marketers’
biggest challenge is lack of financial resources, Cerulli suggests firms
utilize unconventional, less-expensive ways to promote their capabilities, such
as online advertising. Cerulli’s research found nearly two-thirds of asset
managers expect to increase their Internet advertising.

Marketing and branding challenges,
enhancing and expanding distribution efforts, and projections for product
development in 2013 are examined in the January issue of the U.S. Asset
Management Edition of The Cerulli Edge.